Enacts into law major components of legislation necessary to implement the state health and mental hygiene budget for the 2026-2027 state fiscal year; extends provisions requiring the quarterly assessment of known and projected department of health state fund Medicaid expenditures (Part A); extends certain health provisions (Part B); extends certain provisions of law relating to the health care reform act; extends provisions relating to the distribution of pool allocations and graduate medical education; extends provisions relating to health care initiative pool distributions; extends payment provisions for general hospitals; and extends provisions relating to assessments on covered lives (Part C); relates to insurance coverage for medical malpractice paid for by funds from the hospital excess liability pool; extends portions of the New York Health Care Reform Act of 1996 (Part D); relates to temporary health care services agencies and protecting individuals engaged to provide health care services by such agencies (Part J); relates to capital rate reductions for nursing homes (Part L); clarifies Medicaid requirements for biomarker testing (Part M); relates to hospital and nursing home fee-for-service reimbursement rates (Part O); directs the commissioners of the office of mental health, office for people with developmental disabilities, office of addiction services and supports, office of temporary and disability assistance, office of children and family services and the director of the state office for the aging to establish a state fiscal year 2026-2027 targeted inflationary increase for projecting for the effects of inflation upon rates of payments, contracts, or any other form of reimbursement for certain programs and services; requires such commissioners and director to provide funding to support a 4.0% targeted inflationary increase for such programs and services (Part P); relates to the effectiveness of provisions of law relating to Medicaid management; removes certain provisions providing for lower minimum amounts of certain state aid for the city of New York than the rest of the state (Part T); extends provisions of law relating to general hospital reimbursement for annual rates for behavioral services; extends provisions of law relating to increasing Medicaid payments to providers through managed care organizations and providing equivalent fees through an ambulatory patient group methodology (Part U); ensures services provided in school-based health centers are not provided to medical assistance recipients through managed care programs (Part V); extends the effectiveness of the requirement that upon the closure or transfer of a state-operated individualized residential alternative (Part W); extends the care demonstration program (Part X); sunsets certain hospital capital rate add-on adjustments (Part Y); creates an essential plan contingency fund to maintain access to health care coverage for Essential Plan enrollees in the event that the federal government does not approve certain waiver submission necessary to make funds available by July 1, 2026, in the amount not to exceed $2,400,000,000 (Part Z).